A Nairobi court has released prominent city lawyer Esther Bitutu Kadiki on a personal bond of Sh30 million after rejecting a request by the Directorate of Criminal Investigations (DCI) to continue holding her over alleged involvement in a Sh1.49 billion fraud at Equity Bank.
Milimani Chief Magistrate Lucas Onyina ruled that there was no compelling reason to detain the lawyer further despite various allegations under investigation, which include money laundering, cybercrime, theft, and participation in an organized criminal network.
“There is no evidence, or even an allegation, that Bitutu has attempted to interfere with any of the witnesses or the investigation. There must be justification for demanding that a suspect under investigation be held in custody. For these reasons, the prayer by the DCI is declined for lack of merit. The respondent is to execute a personal bond of Sh30 million,” Magistrate Onyina ordered.
The court directed that Bitutu must present herself to the DCI’s Banking Fraud Unit for further interrogation while accompanied by her legal team.
Her release followed an application on Tuesday, in which the DCI sought an additional 21 days to detain the lawyer based on ongoing investigations and concerns about possible witness interference and concealment of evidence.
In a detailed affidavit filed by Chief Inspector Chrispinus Sore Shibanda of the DCI’s Banking Fraud Unit, the court was informed of Bitutu’s alleged role in one of the country’s largest bank fraud cases.
According to the affidavit, Bitutu is accused of facilitating the theft of over Sh1.49 billion from Equity Bank between May and July 2024.
Sore told the court that the funds, earmarked for employee salaries, were siphoned from Equity Bank’s internal Salaries Remittance General Ledger account through unauthorized transactions.
These transfers went undetected in the bank’s internal ledger and were channeled into accounts held outside Equity Bank.
“The bank discovered that these transfers were carried out using login credentials belonging to a senior manager who was on leave during the operation,” the officer stated.
Investigators claim the sophisticated fraud was perpetrated with the help of insiders and a structured criminal syndicate in which Bitutu played a central role.
According to Sore, Bitutu allegedly coordinated the recruitment of individuals and shell companies whose accounts were used to launder the stolen funds.
“I have information that Lawyer Bitutu is a member of a larger organized group that is well-structured, with each individual assigned specific roles ranging from recruitment of targeted bank staff, penetration of the bank system, to identifying and recruiting proxy persons and companies to launder proceeds of crime,” said Sore.
Further evidence presented in court showed that Bitutu allegedly drafted fictitious business agreements used to justify large cash withdrawals from the recipient accounts.
When questioned about the true identities behind these companies, she reportedly denied knowing the individuals involved.
“Despite her involvement in drafting the fictitious agreements, she has been unwilling to provide information regarding the real individuals behind these deals, claiming she never met them,” Sore told the court.
“As an advocate of the High Court of Kenya, such a narrative suggests she is protecting these individuals.”
The DCI also revealed that at least Sh38.4 million of the stolen funds was funneled into an account at NCBA Bank under Inforide Point Limited, a company jointly owned by Bitutu and her husband.
Another portion was traced to Kadiki & Advocates, her law firm, held at the National Bank of Kenya.
Court docuements indicated that Bitutu provided investigators with documentation involving her firm and eight other companies, allegedly tied to more than Sh400 million in suspicious transfers.
Investigators claim these documents were part of an elaborate attempt to legitimize fraudulent financial flows.
“Preliminary investigations revealed that the money was layered through complex transactions, including inter-account transfers, bulk withdrawals, and even cryptocurrency purchases,” Sore noted.
Bitutu was arrested on May 5, 2025, following multiple summonses dating back to October 2024. She had reportedly cited prolonged travel as the reason for her delayed compliance.
However, investigators said she failed to provide any documentation linking her absence to business activity, raising concerns that she may be a flight risk.
